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Monday, MongoDB (NASDAQ:MDB) stock, currently trading at $220.14, retained its Overweight rating and $271.00 price target from Cantor Fitzgerald. The stock has attracted significant analyst attention, with 24 analysts recently revising their earnings estimates upward according to InvestingPro data. The firm’s analysts highlighted MongoDB’s robust start to fiscal year 2026, noting a significant recovery in May and June following a dip in April. The company’s Cloud/Atlas segment showed resilience, with consumption trends aligning with those from January to March. Despite a projected high single-digit percentage decline in enterprise agreements for the remainder of the fiscal year, MongoDB’s management remains confident in Atlas’ potential for over 20% growth.
MongoDB reported an impressive profit outcome, driven largely by better-than-expected enterprise agreement renewals. With a robust gross profit margin of 73% and strong financial health indicators, including a current ratio of 5.89, the company demonstrates solid operational efficiency. This performance stands in contrast to the cautious guidance issued in the previous quarter, which had anticipated a more subdued fiscal year from a profitability standpoint. The company’s financial results have seemingly overcome the initial weak consumption trends witnessed at the end of the first quarter of fiscal year 2026.
During discussions with MongoDB’s CFO, it was revealed that Atlas consumption had returned to its earlier trend. This rebound is seen as a positive sign for the company’s growth trajectory. Analysts at Cantor Fitzgerald also pointed out MongoDB’s mention of a high-profile AI customer using its platform, which they believe counters concerns about MongoDB’s strategic position in the enterprise AI data stack.
Looking ahead, MongoDB is expected to host its Analyst Day on September 17, 2025, in New York City, which could provide further insights into the company’s strategy and outlook. The analysts underscored MongoDB’s valuation, trading at 6 times its calendar year 2026 enterprise value to revenue, which is a 25% discount compared to the average of their infrastructure coverage, which trades at 8 times. For deeper insights into MongoDB’s valuation and growth prospects, InvestingPro subscribers can access comprehensive financial analysis and 14 additional key investment tips in our detailed Pro Research Report.
Investors are encouraged to consider MongoDB shares, as the company appears to be on a path to balance growth investments while scaling its operations effectively, according to the CFO’s remarks during the analyst callback. The current sentiment from Cantor Fitzgerald suggests continued confidence in MongoDB’s market position and financial health.
In other recent news, MongoDB reported impressive fiscal first-quarter results, with revenue reaching $549 million, marking a 22% increase year-over-year. This performance surpassed the consensus estimate of $528 million, demonstrating strong growth in its Atlas service. Following these results, several analyst firms adjusted their price targets for MongoDB. Citi raised its target to $395, maintaining a Buy rating, while Goldman Sachs increased its target to $270, also with a Buy rating. Mizuho (NYSE:MFG) adjusted its target to $210 but kept a Neutral rating, citing a strategic shift towards enterprise customers and ongoing macroeconomic challenges.
UBS lifted its price target to $240, maintaining a Neutral stance due to concerns about secular trends. Bernstein SocGen raised its target to $319, highlighting MongoDB’s focus on margins and an expanded buyback authorization. MongoDB’s recent acquisition of Voyage AI was noted as a strategic move, although immediate benefits are not expected. Analysts expressed optimism about MongoDB’s positioning in the modern data stack and potential for growth, particularly in the second half of the year.
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